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Output loss of 6,000 vehicles owing to Nashik strike: MMPawan Goenka, PresidentAutomotive Sector, MM, said there has been a production loss of 6,000 vehicles owing to the strike at its Nashik facility. He said the company plans to recoup some of this loss in June.Source: Moneycontrol Top Headlines | 28 May 2009 | 5:10 pm Will expand capacity by 5K mw in 5yrs: Neyveli LignitePrasanna Kumar, CMD and DirectorFinance, Neyveli Lignite, said the organisation has a bright future given the fact that they have expansion plans in the offing and many of the plans have been approved by the government. Within five years, we will expand the capacity by another 5,000 mw which is from 2,500 mw to 7,500 mw.\"Source: Moneycontrol Top Headlines | 28 May 2009 | 5:00 pm Expect 25% growth in FY10: Nectar LifesciencesDinesh Dua, CEO, Nectar Lifesciences said the company should at least grow by 25% if not more in FY10.Source: Moneycontrol Top Headlines | 28 May 2009 | 4:57 pm JSW Steel board approves raising up to $1 bn via QIP issueThe board of JSW Steel has approved the raising up to USD 1 billion via qualified institutional placement. Commenting on the same, Seshagiri Rao, Director of Finance, JSW Steel, said the company is seeking an enabling resolution to raise USD 1 billion.Source: Moneycontrol Top Headlines | 28 May 2009 | 4:33 pm Have 12mn sq feet of space under construction: Brigade EntAgencies like JPMorgan and Enam are bullish on Brigade Enterprises. In an interview to CNBCTV18, MR Jaishankar, Managing Director of Brigade Enterprise, said the companys FY10 would substantially better than FY09, if it decides to dispose of its commercial assets. He said the company had 12 million square feet of space under construction.Source: Moneycontrol Top Headlines | 28 May 2009 | 4:13 pm See 20% growth in API business: IndSwift LabsVK Mehta, MD of IndSwift Labs said that the company is expecting 20% growth in the Active Pharmaceutical Ingredients (API) business. The reason he attributed was that the exports were on a roll and the US Food and Drug Administration (US FDA) plant had been approved.Source: Moneycontrol Top Headlines | 28 May 2009 | 3:47 pm See Rs 3500cr revenue from power, cement in \'09: Shree CemHM Bangur, Managing Director of Shree Cements, sees one million tonne additional capacity by 2009end and a significant jump in power and cement production in FY10. He said the company had a revenue of Rs 3,000 crore from power unit in 2008 and expects Rs 3,500 crore this year.Source: Moneycontrol Top Headlines | 28 May 2009 | 1:53 pm Rupee at near 2-wk low on import payments!The rupee dropped to its lowest in nearly two weeks on Thursday as demand for dollars, particularly from oil refiners, picked up momentum for import payments.Source: Zee News : Business | 28 May 2009 | 12:42 pm World economy may shrink 2.6% in 2009: UN!The United Nations has forecast the world economy to shrink 2.6 percent in 2009, downgrading the already-pessimistic estimate made five months ago.Source: Zee News : Business | 28 May 2009 | 12:42 pm Tata Motors completes refinancing of JLR loans!Auto maker Tata Motors today said it has completed refinancing of the USD 3 billion bridge loan taken for the acquisition of British marquee brands Jaguar Land Rover.Source: Zee News : Business | 28 May 2009 | 12:42 pm Germany`s inflation hits zero percent !Germany`s consumer price index for May 2009 is expected to show 0.0 percent inflation compared to the same month last year, for the first time since 1987, according to preliminary figures released Wednesday.Source: Zee News : Business | 28 May 2009 | 12:42 pm Satyam`s Australia Chief quits: Report!IT firm Satyam Computer`s Australia chief Deepak Nangia has quit from his high profile role, in pursuit of greener pastures, a media report says.Source: Zee News : Business | 28 May 2009 | 12:42 pm Time extended for banks to finalise Corus loan terms:TataSteel!Steel behemoth Tata Steel on Wednesday said it has given the banking syndicate, including Citigroup and StanChart, time till May 29 to finalise the repayment terms for the loan arranged to acquire Corus.Source: Zee News : Business | 28 May 2009 | 12:42 pm Sensex up 138 points in early trade!The Bombay Stock Exchange benchmark Sensex rose by 138 points in early trade on Thursday, extending yesterday`s strong rally.Source: Zee News : Business | 28 May 2009 | 12:42 pm India`s macro management a worry, outlook stable: Moody`s!The outlook for India`s foreign and local currency ratings is stable but it faces challenges in areas of macroeconomic management and a backlog of structural reforms, Moody`s Investors Service said on Thursday.Source: Zee News : Business | 28 May 2009 | 12:42 pm India rupee recovers from early fall as shares rise - Reuters India
Source: Google News India - Business | 28 May 2009 | 12:22 pm Tata Chem net up, to pay Rs 9 per share - Hindu Business Line
Source: Google News India - Business | 28 May 2009 | 12:16 pm Bajaj Electricals CFL unit to increase capacityMumbai: Bajaj Electricals’ unit, Starlite Lighting, will raise its Compact Fluorescent Lamp (CFL) manufacturing capacity to 40 million units per annum from 10 million per annum, a company official said on Thursday. Bajaj Electricals and Starlite will together invest Rs400 million for this, R. Ramakrishnan, executive director said. “We are absolutely clear that CFL market will continue to grow. We are also exploring the export opportunities in the segment,” Ramakrishnan said. Bajaj’s lighting business had grown by about 13.5% in Jan-March quarter, while its consumer durables grew by 23% and engineering and projects business almost doubled, he said. Early on Thursday, the company reported a 43% rise in its Jan-March net profit to Rs474.7 million, on a net sales of Rs6.48 billion. The topline growth of 43% together with eased raw material prices, higher margins, lower interest payments and execution of some profitable project orders improved the performance of the company in March quarter, Ramakrishnan said. The company’s order book is at about Rs10 billion at March end and it eyes a turnover of about Rs21 billion in FY10 as against Rs18 billion last year, he added. The company also declared 100% dividend for FY09. Shares in the company closed up 10% to Rs384.60 in a firm Mumbai market. Source: LatestNews-Home - Livemint.com | 28 May 2009 | 12:16 pm FM to start pre-budget consultation meetings next weekNew Delhi: Finance minister Pranab Mukherjee will start the customary pre-budget consultations with different interest groups like captains of industry, economists, agriculturists and bankers next week. “The pre-budget meetings will begin next week after Mukherjee returns from his trip to West Bengal,” said a ministry official, adding that the minister has already met several important functionaries to firm up his views about the budget, to be presented in the first week of July. Among others, the finance minister met railway minister Mamata Banerjee and discussed the budget proposals of the rail ministry. Banerjee said that in addition to seeking relief for the cyclone-hit people in West Bengal, she also held discussions about the rail budget with the finance minister. Mukherjee, who is leaving for West Bengal and his constituency Jangipur after assuming charge as the finance minister, is expected to return to the capital by the weekend. He has already said that he would make endeavour to get budget, the first of the new UPA government, approved by Parliament before the end of the next month. As a general practice, finance minister along with senior officials meets representatives of trade and industry, senior economists, trade union leaders unions, agriculturists and bankers to elicit their views on the budget. “The regular budget 2009-10 exercises are underway in full swing,” Mukherjee said yesterday pointing out that Congress in its manifesto had promised to come out with the budget within 45 days of formation of the new government. As finance minister in the previous government, Mukherjee presented an interim budget on 16 February and sought vote on account for four months to withdraw funds from the consolidated fund of India to meet necessary expenditure. The interim budget runs till 31 July, so the budget has to be passed by Parliament by that date to avoid another vote-on-account. Revenue secretary P.V. Bhide had been meeting representatives of industry chambers like CII even before formation of the new government. The chamber sought withdrawal of fringe benefit tax and surcharge on corporate tax to stimulate the economy reeling under the impact of the global financial meltdown. The minister had said yesterday that top most priority of the new government would be to revive the growth momentum of our economy which has been affected by the global financial crisis. India’s growth rate is estimated to have slipped to 6.5-6.7% during 2008-09 from 9% a year ago as a result of the financial crisis. Source: LatestNews-Home - Livemint.com | 28 May 2009 | 12:15 pm Banks may consider merger to sustain growth - CAREMUMBAI (Reuters) - Indian state-run banks may consider merger as an important option to sustain growth, rating firm Credit Analysis and Research Ltd (CARE) said on Thursday.Source: Reuters: Money News | 28 May 2009 | 12:12 pm Inflation unchanged, rate cut hopes remain - Reuters India
Source: Google News India - Business | 28 May 2009 | 12:10 pm Sonia meets PM over portfolio allocationNew Delhi: Prime Minister Manmohan Singh held discussions with Congress president Sonia Gandhi on the issue of portfolio allocation for the council of ministers which was expanded on Thursday. The meeting, which was also attended by political secretary to Congress president Ahmed Patel, was held close on the heels of induction of 59 ministers in Singh’s team. Six senior ministers in the Prime Minister’s 79-member team have been allocated portfolios while the rest are yet to be announced amid reports of a tussle over key ministries. Singh and Gandhi have held a series of meetings over the issue of government formation in the last few days. Source: LatestNews-Home - Livemint.com | 28 May 2009 | 12:10 pm TEXT-OPEC communique from Vienna meeting May 28 - Reuters India
Source: Google News India - Business | 28 May 2009 | 12:09 pm FACTBOX - GM's European sites under the gunReuters - As the battle for German carmaker Opel effectively narrowed to a two-way race between Fiat and Magna, overnight talks to shield Opel from parent General Motors' looming bankruptcy ended with no deal.Source: Reuters: Money News | 28 May 2009 | 12:06 pm Siemens to invest Rs 275 crore in Vadodara - Economic Times
Source: Google News India - Business | 28 May 2009 | 12:02 pm India's credit rating under pressure: Moody'sIndia's credit rating is facing growing pressure because of the widening fiscal deficit and the country's increasing dependence on foreign capital inflow, global rating agency Moody's said Thursday.Source: IndiaeNews.com: Business News | 28 May 2009 | 12:01 pm Rupee recovers from early fall as markets gainMumbai: The rupee recovered from a early fall past 48 per dollar on importer demand for dollars to end stronger on Thursday as another day of gains in shares raised expectations of foreign investment inflows. The partially convertible rupee ended at Rs47.60/62 per dollar, off an early low of Rs48.10, its weakest since 18 May. The rupee ended at Rs47.70/71 on Wednesday. “Capital into shares is driving up the rupee,” a trader with a foreign bank, said, adding that export-related inflows for two technology firms also lifted the currency. The BSE index rose 1.3% on Thursday, taking gains to more than three-quarters from a 2009 low in early March as increased investor confidence across the globe has brought in about $5.5 billion from foreign funds. That foreign buying of shares has been a key factor in the rupee’s 9.7% rebound from a record low of Rs52.20 in early March. Traders said the rupee fell early as oil refiners bought dollars. Refiners, the largest buyers of dollars in the Indian market, generally raise dollar purchases at the end of every month when they are required to make their import payments. One-month offshore non-deliverable forward contracts, were quoted at 47.70/80, weaker than the onshore spot rate. Source: LatestNews-Home - Livemint.com | 28 May 2009 | 12:00 pm India among best in tackling recession: SurveyIndia has been ranked as third best country that will tide over the global economic crisis by a worldwide survey among business persons to understand the business morale and impact of the economic downturn.Source: India Business News | Business News - Times of India | 28 May 2009 | 11:55 am ANALYSTS' VIEW: Opel race narrows but no funding deal reached - Reuters
Source: Google News India - Business | 28 May 2009 | 11:55 am INTERVIEW - Visa Steel sees FY10 rev, margin growth at 15-20 pctKOLKATA (Reuters) - Visa Steel Ltd expects to grow at 15-20 percent in FY10 and sees revenue of 10 billion rupees in the financial year-ended March 2009, a top official told Reuters on Thursday.Source: Reuters: Money News | 28 May 2009 | 11:53 am SAIL Q4 net falls on lower pricesNEW DELHI (Reuters) - State-run Steel Authority of India Ltd's quarterly profit fell more than a third as the economic slowdown hit demand and prices, but the result still beat market forecasts as the company cut costs.Source: Reuters: Money News | 28 May 2009 | 11:49 am India SAIL Q4 net falls on lower prices - Reuters India
Source: Google News India - Business | 28 May 2009 | 11:47 am INTERVIEW - EPFO aims at paying 8.5 pct interest for FY10NEW DELHI (Reuters) - The Employees' Provident Fund Organisation (EPFO), India's biggest pension fund, aims to pay 8.5 percent interest to its 40 million-plus subscribers for 2009/10, as new fund managers have helped it earn better returns, a top labour ministry official said on Thursday.Source: Reuters: Money News | 28 May 2009 | 11:47 am India among best places to tide over economic crisis: surveyNew Delhi: India has been ranked as third best country that will tide over the global economic crisis by a worldwide survey among business persons to understand the business morale and impact of the economic downturn. According to the Servcorp International Business Confidence Survey India has been ranked as the third most promising country to survive the economic crisis. The survey which was conducted in April 2009 over a period of two weeks, was commissioned to understand the current mood, business morale and impact the economic downturn has had on businesses around the world. Australia has been voted as the best place to be during this recessionary times by international business people, followed by China. The third position is held jointly by India and Singapore while Hong Kong and Canada are in the fifth and sixth place respectively. Interestingly, developing nations have emerged favourites among international businessmen as places which are best placed to tide over the recession as 21 of the 36 countries listed by the Servcorp International Business Confidence Survey are emerging market economies. As part of the survey, Servcorp asked 7,500 international business people from over 24 nations to identify which nations they believe are surviving the crisis best. Source: LatestNews-Home - Livemint.com | 28 May 2009 | 11:47 am Gold remains subdued on weak global cues, silver strengthensExtending losses for the second straight day, gold prices fell further by Rs 10 to close at Rs 14,820 per ten gram.Source: Daily News & Analysis: Money News | 28 May 2009 | 11:40 am M&M Q4 net up 89 pc at Rs 418 crore - Hindu
Source: Google News India - Business | 28 May 2009 | 11:35 am Inflation unchanged at 0.61%, rate cut hopes remainNew Delhi: India’s inflation rate remained unchanged in mid-May despite a rise in prices of manufactured items and fuel, and analysts forecast it to remain benign this year leaving headroom for rate cuts to help spur growth. The widely watched wholesale price index rose 0.61% in the 12 months to 16 May, matching the previous week’s rise and below analysts’ expectation. Analysts said inflation would turn negative in June and the central bank may not rush to cut rates, but reviving growth remained a focal point and lowering borrowing costs was a possibility. “Weekly inflation has no implication for the monetary policy. Overall trend is that inflation is low and it is expected to remain low for some time and that gives policy headroom for further rate cuts,” said D K Joshi, principal economist at rating agency Crisil. “We are factoring in another 50 basis point rate cut this year... in the next two policies we will see these rate cuts.” On Wednesday, finance minister Pranab Mukherjee said commercial banks should lower their interest rates, taking cues from the central bank, and step up loans to industry to help bolster sagging growth. While the government is assessing the impact of a raft of monetary and fiscal stimulus measures, Mukherjee said high cost of borrowing remained a matter of concern. Since October, the central bank has cut its lending rate by 425 basis points and the government has slashed duties and increased public spending to stimulate the economy hit by the global slump and falling domestic demand. The ruling Congress party-led coalition, which was re-elected for a second five-year term nearly two weeks ago, sworn in new ministers on Thursday as it aimed to present a budget by early July. On Wednesday, the outgoing deputy governor of the Reserve Bank of India, Rakesh Mohan, said higher budget spending was needed to spur growth and a bloated government borrowing plan would not “crowd out” private investment. Growth in Asia’s third-largest economy is estimated to slow to a seven-year low of 6% in 2009/10, the central bank has said. A Reuters poll of economists showed the economy grew by 6.5% in the 2008/09 fiscal year, sharply lower that 9 percent or more in previous three years. The 10-year bond yield was steady at 6.70% after the inflation data, higher than Wednesday’s close of 6.63%. The 30-share BSE index ended up 1.3%. Source: LatestNews-Home - Livemint.com | 28 May 2009 | 11:33 am Need quick policy moves to help ease funding: Rel PowerJayarama Chalasani the Chief Executive Officer of Reliance Power said that few of the funding issues had been addressed, but there was a need to focus on execution now. However, he added that execution of on going power projects were on track. He also stated that quick policy initiatives were needed to help ease funding in the power sector.Source: Moneycontrol Top Headlines | 28 May 2009 | 11:32 am Houston explores bilateral partnerships with IndiaHouston: Despite the global economic downturn, the Greater Houston Partnership is teaming up with the Indo-American Chamber of Commerce of Greater Houston (IACCGH) to actively cross promote opportunities between the region and India. “We are pleased to join with one of the Houston’s active economic development and trade organizations to promote our area as a global gateway to a very prominent international market that is very open to expanding or locating business operations here,” Greater Houston Partnership president and CEO Jeff Moseley told PTI. “With Houston’s vibrant markets in energy, petrochemicals, nanotechnology, IT, biotechnology and its world-class medical facilities, now is the time for more Indian companies to stake their claim in the area,” he said. “The time is ripe for Indian companies to establish businesses in Houston and continue to bridge the gap between the two regions,” said IACCGH executive director Jagdip Ahluwalia. The Partnership, represents the 10-county Houston region and collaborates with more than 36 economic development organizations to promote the growth of high-paying jobs, international trade and capital investment. Source: World Business - Livemint.com | 28 May 2009 | 11:32 am Houston explores bilateral partnerships with IndiaHouston: Despite the global economic downturn, the Greater Houston Partnership is teaming up with the Indo-American Chamber of Commerce of Greater Houston (IACCGH) to actively cross promote opportunities between the region and India. “We are pleased to join with one of the Houston’s active economic development and trade organizations to promote our area as a global gateway to a very prominent international market that is very open to expanding or locating business operations here,” Greater Houston Partnership president and CEO Jeff Moseley told PTI. “With Houston’s vibrant markets in energy, petrochemicals, nanotechnology, IT, biotechnology and its world-class medical facilities, now is the time for more Indian companies to stake their claim in the area,” he said. “The time is ripe for Indian companies to establish businesses in Houston and continue to bridge the gap between the two regions,” said IACCGH executive director Jagdip Ahluwalia. The Partnership, represents the 10-county Houston region and collaborates with more than 36 economic development organizations to promote the growth of high-paying jobs, international trade and capital investment. Source: LatestNews-Home - Livemint.com | 28 May 2009 | 11:32 am Topline growth for financial year at 23%: CumminsRajiv Batra, CFO of Cummins India, said the company had a topline growth of 23% for the year. We added in excess of Rs 500 crore into the export numbers, he said, adding that the company increased its capacities, which were yielding better revenues now.Source: Moneycontrol Top Headlines | 28 May 2009 | 11:27 am BSE Sensex rises 1.3 pct; Bharti bounces - Reuters India
Source: Google News India - Business | 28 May 2009 | 11:26 am L&T plans capex of Rs 2000 cr for FY 2009-10 - Business Standard
Source: Google News India - Business | 28 May 2009 | 11:26 am EPFO aims at paying 8.5% interest for FY10New Delhi: The Employees’ Provident Fund Organisation (EPFO), India’s biggest pension fund, aims to pay 8.5% interest to its 40 million-plus subscribers for 2009-10, as new fund managers have helped it earn better returns, a top labour ministry official said on Thursday. “We will be able to give 8.5% without dipping into our reserves,” labour secretary Sudha Pillai told Reuters in an interview, adding that the fund earned a minimum interest of 8.68% between September and March. Speeding inflation prompted the Reserve Bank of India (RBI) to raise interest rates until September, pushing up returns on fixed income investments, including government bonds, which form a bulk of the fund’s investments. Last year, banks had been offering interest as high as 11.5% on term deposits while bond yields surged as the global financial crisis choked liquidity and raised borrowing costs. The global slump that followed the financial crisis in the second half of the fiscal has trimmed India’s factory output and exports, forcing firms to slash jobs for cutting losses. The labour ministry would seek incentives in the July budget for firms to help them retain and create more jobs, said Pillai. Source: LatestNews-Home - Livemint.com | 28 May 2009 | 11:17 am Sensex closes 186 points upThe Bombay Stock Exchanges Sensex, which opened at 14,112.04 points, rose 186.37 points or 1.32% to close at 14,296.01 points.Source: India Business News | Business News - Times of India | 28 May 2009 | 11:13 am BSE Sensex rises 1.3 pct; Bharti bouncesMUMBAI (Reuters) - The BSE Sensex rose 1.3 percent on Thursday as short-covering on the last day of monthly derivatives and strong results from engineering conglomerate Larsen & Toubro helped shrug off tepid markets across Asia and Europe.Source: Reuters: Money News | 28 May 2009 | 11:11 am Markets lose early gains to end 1% up on short coveringMumbai: Indian shares rose 1.3% on Thursday as short-covering on the last day of monthly derivatives and strong results from engineering conglomerate Larsen & Toubro helped shrug off tepid markets across Asia and Europe. Leading mobile operator Bharti Airtel bounced 3.4% after falling more than 10% over the past three days following revived merger talks with South Africa’s MTN. The 30-share BSE index ended up 186.37 points at 14,296.01, with 20 stocks advancing, after briefly turning negative in early deals. The 50-share NSE index rose 1.4% to 4,337.10. “Lots of companies, including L&T, have come out with solid results. This has given a real boost of confidence for the market,” Alex Mathew, head of research at Geojit BNP Paribas Financial Services, said from Kollam in southern Kerala state. Expectations are high after the Congress party-led coalition won a second term and Finance Minister Pranab Mukherjee said the government needed to push long pending reforms in the financial sector and in the real economy to support growth. Larsen gained 2.3% to Rs1,341.80 after its quarterly results beat forecasts and the company forecast robust orders. The stock has jumped 36% after the ruling coalition since general election results nearly two weeks ago on hopes the government will increase infrastructure spending. The BSE index has jumped by more than three-quarters from a 2009 low in early March, as increased investor confidence across the globe brought in about $5.5 billion of investments from foreign funds. Maverick Indian investor Rakesh Jhunjhunwala believes bold reforms such as opening up the country’s insurance and pensions to foreigners will be critical to quell concerns about the market being pricey and sustain the stock market rally. “Insurance, pension reforms are going to be extremely important for the stock market because the kind of money we’ll get from that is unbelievable,” Jhunjhunwala, dubbed by the media as India’s Warren Buffett, told Reuters in an interview. He said the benchmark index could rise to 15,500 by the end of December. India’s annual inflation was at 0.61% in the 12 months to 16 May, matching the previous week’s annual rise, government data showed on Thursday. Energy giant Reliance Industries, which has the most weight in the main index, rose 1.5% to Rs2,219.90, while private-sector lender ICICI Bank added 2.7% to Rs729.50. Source: Home - Livemint.com | 28 May 2009 | 11:11 am Gold remains subdued on weak global cuesMumbai: Extending losses for the second straight day, gold prices fell further by Rs10 to close at Rs14,820 per ten gram in the bullion market today on selling by stockists influenced by weakening global trend. However, silver attracted brisk buying from speculators and industrial units and rose smartly by Rs250 to Rs22,800 per kg. Buying activity in gold remained restricted as metal prices fell for a third day in Asia firming dollar. Marketmen said sustained selling by stockists in line with weakening trend in Asian region mainly led to a fall in gold prices. They said some funds seen shifting from weakening gold to rising equity markets for quick gains, also gave a negative impact on the sentiment. In Asia, gold traded lower 0.6% to $944.65 an ounce and silver by 0.5% to $14.675 an ounce. Standard gold and ornaments lost Rs10 each at Rs14,820 and Rs14,670 per ten gram respectively. However, sovereign remained steady at Rs12,400 per piece of eight gram. On the other hand, silver ready remained in demand and rose further by Rs250 to Rs22,800 per kg and weekly-based delivery by Rs505 to Rs23,185 per kg respectively. Silver coins also gained Rs200 to Rs29,300 for buying and Rs29,400 for selling of 100 pieces in line with a firming silver trend. Source: Home - Livemint.com | 28 May 2009 | 11:08 am Bharti in no rush to sweeten MTN offer - bankersNEW DELHI (Reuters) - Bharti Airtel may sweeten its offer for effective control of South Africa's MTN, bankers said on Thursday, though changes to an outlined deal are unlikely to be big or soon.Source: Reuters: Money News | 28 May 2009 | 11:06 am ONGC may invest $1.01 bn in Cairn’s Rajasthan oilfieldsNew Delhi: ONGC on Thursday said it may invest $1.01 billion in Cairn India’s Rajasthan oilfields even though the project offers negative returns as the public sector firm is liable to pay all the statutory levies. Oil and Natural Gas Corporation holds 30% in oilfields where Cairn has proposed $2.4 billion investment in producing oil, and another $980 million for laying a heated pipeline to transport the oil to the Gujarat coast. Its board has, however, not yet cleared its share of $1.01 billion as the investment offers negative returns. “ONGC’s Net Present Value (the value today of anticipated future incomes and expenditures) with revised field investment plan works out to negative $1.435 billion and negative $1.471 billion at a crude price of $60 and 70 per barrel, respectively,” a top company official said. Negative NPV has been a result of ONGC being made liable to pay 20% royalty on the entire crude oil production even through its share is only 30%. Cairn is exempt from royalty payment and ONGC will have to pay the levy on the private firm’s behalf. “(The) petroleum ministry today says that we signed the contract for the Rajasthan block fully knowing about the royalty liability. But the royalty at the time of signing of the production sharing contract was Rs539.20 per tonne while it today comes to Rs3,780 per tonne, considering a crude price of $60 per barrel,” he said. Besides change in royalty rates, the oil development cess has also been increased to Rs2,500 per tonne from Rs900 per tonne at the time of signing of PSC for the Rajasthan block. “Keeping in view ONGC’s liability of payment of royalty on 100% production against its participating interest of 30% in RJ-ON-90/1 block, ONGC’s liability towards royalty works out to $36 per barrel at crude price of $60 per barrel,” the official said. The cess for ONGC’s 30% share works out to $7.14 per barrel. “Further, we have to share profit petroleum (which is broadly revenue minus operating and capital expense and cess, royalty is not deductible) with the government in a prescribed ratio. Assuming the current cost and production estimates and a crude oil price of $60 per barrel, ONGC would need to pay $10.34 per barrel to the government as its share of profit petroleum,” he said. ONGC would be left with $6.5 per barrel after payment of royalty, cess and profit petroleum to government. On the other hand, operator Cairn would be left with $42.5 per barrel since it does not have to pay royalty. “The balance of $6.5 per barrel is grossly insufficient for meeting the obligation of sales tax/VAT, opex and capex,” he said, adding ONGC wants the government to refund the royalty it has to pay on behalf of Cairn. “Even in case royalty paid by ONGC on behalf of Cairn is reimbursed to it, the breakeven crude price would work out to $71 per barrel,“ the official said. The Rajasthan crude is heavy and waxy. Also it cannot produce LPG and has very little kerosene and gasoil output and hence it is expected to trade at a significant discount to other crudes like Brent. At $70 a barrel sale price, ONGC’s realisation after paying for cess, royalty and profit petroleum would be just $5.78, he said. “The project offers us negative return and over the life of the field we will end up losing Rs14,000 crore.” The official said the board of ONGC has held back clearance to the revised development cost of the Rajasthan fields proposed by Cairn but petroleum ministry was pressuring it to clear it. A Group of Ministers and a Committee of Secretaries had 11 years ago recommended that ONGC should be reimbursed the royalty it has to bear for the operator but the recommendation is yet to be accepted. “We have told them (the Government) that either reimburse us the royalty or free us from the field.” Cairn is almost ready to start producing crude oil from the Rajasthan field. The output may start by this month-end and is slated to reach a peak of 8.75 million tonnes by 2011. Source: LatestNews-Home - Livemint.com | 28 May 2009 | 11:02 am India's Red Chery plans to cross swords with BlackBerryThe little-known maker of Red Chery - a mobile application used for receiving mails from free and corporate e-mail accounts - is dreaming big: eating into a market straddled by BlackBerry of Canada's Research In Motion and other similar service providers.Source: IndiaeNews.com: Business News | 28 May 2009 | 11:00 am Steel prices likely to be strong in H1 FY10: Jindal SteelSushil Maroo, Deputy Managing Director of Jindal Steel and Power said that the company was taking high provision this quarter due to higher coking coal prices.Maroo said, The worst is over, and that steel prices will be strong for next two quarters.Source: Moneycontrol Top Headlines | 28 May 2009 | 10:56 am INTERVIEW - Stocks not expensive yet - JhunjhunwalaMUMBAI (Reuters) - Maverick investor Rakesh Jhunjhunwala believes bold reforms such as opening up the country's insurance and pensions to foreigners will be critical to quell concerns about the market being pricey and sustain a stock market rally.Source: Reuters: Money News | 28 May 2009 | 10:53 am Sebi plans securities trading through wireless devicesNew Delhi: Market regulator Securities and Exchange Board of India (Sebi) plans to extend the facility of Internet trading in securities on exchanges by enabling the use of wireless technology. “It is proposed to explore the possibility of extending the existing framework of Internet trading to enable use of wireless technology for securities trading,” it said in a statement on Thursday asking for public comments by 15 June. The Sebi said all the relevant requirements applicable for Internet based trading will also be applicable for securities trading using wireless network. Sebi registered stock brokers who provide Internet based trading services will be eligible to provide securities trading using wireless medium, subject to approval from respective exchanges, the statement said. As per the proposed safeguards for wireless trading, the market regulator said there should be secure access, end-to-end encryption and security of communication from hand held device to server. Adequate measures would be taken for user identification, authentication and access control using means such as user id, passwords, smart cards, biometric devices to prevent misuse. Sebi further said network security protocols must be as per prevalent industry standards and sound audit trails must be available for all transactions using wireless devices. Source: Home - Livemint.com | 28 May 2009 | 10:48 am US home sales up in April, inventories swellWashington: Sales of previously owned US homes rose in April, a report showed on Wednesday, providing new evidence the housing market is stabilizing and backing views that the recession is nearing an end. The National Association of Realtors said sales climbed 2.9% to an annual rate of 4.68 million as the traditional spring home-buying season swung into gear. The positive picture, however, was dimmed by a separate report showing applications for home loans fell to their lowest level since early March last week as mortgage costs rose. Worries about the government’s ability to fund costly measures to rescue the economy drove longer-dated government bond yields higher on Wednesday, with the spread between the 2-year and 10-year Treasury notes widening to a record 2.75 percentage points. The rise in bond yields threatens to push up borrowing costs for consumers and businesses, and US stocks sold off on concerns the economy could suffer. Major indexes ended more than 1% lower. Economists, however, were heartened by the home sales data and said borrowing costs had not moved up enough to imperil the housing market’s chances of recovery. “I don’t think it’s a threat as long as mortgage rates stay low and so far they have,” said Patrick Newport, an economist at IHS Global Insight in Lexington, Massachusetts. In general, the data was seen as a fresh hint that the steep 17-month US economic downturn, triggered by the collapse of the housing market, was easing and could well end by the third quarter, as a survey published by the National Association of Business Economists predicted. The pace of job losses slowed last month, claims for unemployment aid have come off their peaks, and consumer confidence has risen from recent rock-bottom levels. “The national economy is showing some initial signs of stability,” US Treasury Secretary Timothy Geithner said in Boston as he announced $1.5 billion in federal tax credits for community development projects. “This is just the beginning, however. We have a long way to go.” Sales activity picking up The Realtors report showed sales of single-family homes rose 2.5% last month to an annual rate of 4.18 million, while multi-family units - the hardest-hit sector - jumped 6.4% to a 500,000-unit annual pace. Sales were up in three of four regions. However, the number of unsold homes swelled 8.8 percent to 3.97 million, the highest since November. At the current sales pace, it would take 10.2 months to clear that supply. Both the trade group and economists shrugged off the rise in home inventories as mainly the result of seasonal factors. “The increase in inventories was largely driven by seasonal factors and reflects sellers entering the spring market,” said Anna Piretti, an economist at BNP Paribas in New York. She noted that inventories had come down from the highs recorded in 2007 and 2008. Even when the economy begins to grow, analysts expect only a tepid recovery. Plunging home values and rising unemployment have forced consumers to cut spending, and households are expected to continue to rebuild savings for months to come. Source: LatestNews-Home - Livemint.com | 28 May 2009 | 10:47 am Finmin mulls Satyam special audit, seeks SFIO reportThe Finance Ministry is evaluating options of conducting a special audit of Satyam Computer's accounts to ascertain the company's tax liability.Source: Daily News & Analysis: Money News | 28 May 2009 | 10:39 am PM hints at PSU disinvestment in Budget 2009-10New Delhi: Prime Minister Manmohan Singh on Thursday indicated that the full Budget for 2009-10 may announce a disinvestment of government stake in public sector companies. “Fiscal prudence and disinvestment of public sector units -- all these issues will be tackled by the finance minister in the Budget,” Singh told reporters after the second round of swearing in of union ministers at Rashtrapati Bhawan. The Prime Minister said economic growth would not come at the cost of fiscal prudence. “We would ensure economic growth momentum but at the same time fiscal prudence will be kept in mind,” he said. A host of companies waiting for the government nod for disinvestment include Bharat Sanchar Nigam Ltd (BSNL), railway consultancy firm RITES, National Aviation Company, and Ircon. The government has already cleared the disinvestment of NHPC and Oil India but could not tap the capital market due to the prevalent negative sentiment. Fund mobilisation by the government by way of initial public offers (IPOs) declined in 2008. There was only one PSU IPO, which was that of Rural Electrification Corporation, worth Rs1,421 crore. In 2007, there were four PSU IPOs, including those of Power Grid Corporation and Power Finance Corporation, worth Rs5,580 crore. Source: Home - Livemint.com | 28 May 2009 | 10:38 am Inflation unchanged, rate cut hopes remainNEW DELHI (Reuters) - India's inflation rate remained unchanged in mid-May despite a rise in prices of manufactured items and fuel, and analysts forecast it to remain benign this year leaving headroom for rate cuts to help spur growth.Source: Reuters: Money News | 28 May 2009 | 10:29 am Bharti in no rush to sweeten MTN offer, say bankersNew Delhi: Bharti Airtel may sweeten its offer for effective control of South Africa’s MTN, bankers said on Thursday, though changes to an outlined deal are unlikely to be big or soon. Under a cash and share deal, which Bharti values at over $23 billon, India’s leading mobile operator would take 49% of MTN, while the South African firm would get 36% of Bharti. A banking source briefed on the deal said the terms laid out so far were tentative and may change as talks progress. “These are the broad outlines. Things can change closer to a final agreement. At this juncture, I don’t see any need to sweeten it,” said the banker, who did not want to be named as he is not authorised to speak to the media. “Let’s wait for the big (MTN) shareholders to come through, then Bharti can think of any change, if at all,” said another banking source in India, who also didn’t want his or his firm’s name to be mentioned given the sensitivity of the issue. A Bharti Airtel spokesman declined comment when asked if there was any possibility of the company sweetening the deal, which would create the world’s third-biggest mobile firm by subscribers after China Mobile and Vodafone. Four of MTN’s top 25 shareholders have said they would reject the plan as outlined, and other big investors are still unsure. MTN’s biggest shareholder, South African state-owned pension fund Public Investment Corporation (PIC), told Reuters in an emailed statement it was still analysing the proposal. Sanjay Chawla, telecoms analyst at Mumbai brokerage Anand Rathi Securities, estimated Bharti would pay 160 rand per MTN share, a one-third premium to MTN’s Wednesday close. “Bharti has not said it is the maximum price they are paying ... to appease a certain section of investors they might go for it,” Chawla said. Under the present terms, Bharti would make a net payment of about $4 billion, which banking sources have said would be funded through debt. It would also issue new shares. While MTN shareholders may argue for better terms, Bharti investors are unlikely to press for a sweetened deal. “That would mean more equity dilution and more debt on the books, and that will not be liked by Bharti shareholders,” said Harit Shah, analyst at Angel Broking in Mumbai. Bharti shares rose 3.4% on Thursday, recouping some of the 10.4% drop earlier this week. The broader Mumbai market ended up 1.3%. Source: Home - Livemint.com | 28 May 2009 | 10:23 am SAIL Q4 net dips 37% at Rs1,486 crNew Delhi: State-run Steel Authority of India Ltd (SAIL) on Thursday reported a 37% fall in its net profit at Rs1,486.68 crore during the fourth quarter ended 31 March. The company had a net profit of Rs2,376.76 crore in the January-March quarter a year earlier, SAIL said in a filing to the Bombay Stock Exchange. Total income of the company fell to Rs12,590.12 crore during the Q4 of FY’09 from Rs13,856.95 crore in the corresponding quarter a year ago, it said. For the financial year ended 31 March, the steel producer posted a net profit of Rs6,174.81 crore, registering a fall of 18% compared to Rs7,536.78 crore in FY’08. However, total income of SAIL rose to Rs46,110.75 crore during the 2008-09 fiscal from Rs41,518.74 crore in FY’08. Source: Home - Livemint.com | 28 May 2009 | 9:44 am India's debt affordability poor: Moody'sGlobal rating agency Moody's today warned that India's financial strength has weakened due to its "poor debt affordability" and the country's fiscal policy predictability and credibility have also deteriorated.Source: India Business News | Business News - Times of India | 28 May 2009 | 9:41 am L&T Q4 net beats forecast, sees robust ordersMUMBAI (Reuters) - Larsen & Toubro beat forecasts with a 3.3 percent rise in quarterly profit and said infrastructure spending would boost its order book by a quarter this year, sending its shares up nearly 5 percent.Source: Reuters: Money News | 28 May 2009 | 9:34 am Mahindra Q4 net up 89%, beats forecastsMumbai: Mahindra & Mahindra Ltd, India’s top utility vehicles and tractor maker, on Thursday beat expectations with near-doubling in quarterly net profit. Mahindra, which aims to enter the US market with a pick-up truck and sport utility vehicle early next year, said net profit rose to Rs4.18 billion ($87.6 million) in the fiscal fourth quarter (Q4) ended March from Rs2.21 billion a year ago. Net sales rose to Rs36.19 billion from Rs31.42 billion, and were also above a forecast of Rs34.01 billion. Shares in Mahindra, valued at $3.6 billion, had risen 39.4% in the March quarter while the main index rose 0.6%. Source: Home - Livemint.com | 28 May 2009 | 9:32 am L&T Q4 net beats forecast, sees robust ordersMumbai: Larsen & Toubro beat forecasts with a 3.3% rise in quarterly profit and said infrastructure spending would boost its order book by a quarter this year, sending its shares up nearly 5%. India’s largest engineering and construction firm’s order book rose by a third in the 2008-09 fiscal year and stood at Rs70,320 crore ($14.7 billion) by the end of March, which should underpin growth in the coming years. “Our substantial order backlog will help the company report strong revenues and profits for the next two years,” executive vice president R Shankar Raman told Reuters on telephone. L&T, which operates in industries as diverse as engineering, shipbuilding and software, has been riding a building boom for the past few years as India revamps airports, roads, and adds industrial capacity. But a global financial crisis has slowed the economy and pressed firms to scale back or suspend expansion plans. L&T lowered its revenue growth guidance to 15-20% for 2009-10 from 25% in the previous year. “We hope the government’s infrastructure focus will translate to orders. Over a three-year spectrum, we see buoyancy returning,” Shankar Raman said. The company said net profit rose to Rs999 crore ($209 million) in the March quarter from Rs967 crore a year ago. This included a provision of Rs185 crore for its investment in Satyam Computer Services. Net sales rose to Rs10,470 crore from Rs8,470 crore. A Reuters poll of 13 brokerages had forecast net profit of Rs910 crore, on net sales of Rs1,1059 crore. Margins in its engineering and construction division, which contributes 80% of revenues, rose slightly to 12.9%. Margins will sustain around this level, Shankar Raman said. The company will hold on to its 12% stake in outsourcer Satyam Computer as a strategic investment, but has not decided if it will ask for a board seat, he said. In April, L&T lost out in the race for controlling stake in the fraud-hit outsourcer, which was eventually bought by smaller rival Tech Mahindra. L&T is barred from selling the stake, acquired prior to the bid, for six months. Shares in L&T, valued at $15.5 billion, gave up gains of 4.75% and were trading up 2.2% at Rs1,340 by 0923 GMT in a Mumbai market that was up 1.8%. Source: Home - Livemint.com | 28 May 2009 | 9:27 am Yahoo open to Microsoft deal under right termsCalifornia: Yahoo Inc.’s chief executive said on Wednesday that she is open to joining forces with Microsoft Corp. so both companies can better compete in Internet search, but a deal would need a specific set of terms including “boatloads of money.” An alliance in Internet search would have to enrich Yahoo, give Yahoo access to the “right data” and bring strong technology, Carol Bartz said at The Wall Street Journal’s: All Things Digital conference. In the past, Yahoo has insisted it needs data culled from search requests to sell the most effective ads and tailor other services to suit its users’ interests. Asked if she would consider selling all of Yahoo, she said, “Oh, they’d have to have BIG boatloads of money.” Yahoo already has walked away from what would seem to be a boatload. Microsoft offered as much as $47.5 billion for the company last year. Jerry Yang’s, Yahoo’s co-founder, was chief executive at the time and saw Yahoo lose two-thirds of its market value after rejecting Microsoft. He stepped down in November and was replaced in January by Bartz, who came from Autodesk Inc. Yahoo’s market value now stands at $21 billion, with its shares falling 34 cents to $14.94 on Wednesday. Microsoft Corp. CEO Steve Ballmer, who appears at the conference on Thursday and is widely expected to talk about his company’s new search engine, has said he would still be interested in a search-related deal with Yahoo that could help them threaten Google Inc.’s leadership. Bartz was asked whether Yahoo continues to talk with Microsoft. “Yeah, a little bit,” she said. Bartz said it would be unfair to shareholders to rule out selling the company and she needled the founders of privately held Twitter Inc. for saying Tuesday that they intended to keep the young, rapidly growing online communication service independent. Bartz, 60, recounted how she deflected overtures from Yang in November to take his job when they met at board meeting of networking equipment maker Cisco Systems Inc., where they serve as directors. A month later, she agreed to visit Yang’s home. Bartz was taken aback when Yang pulled an organizational chart from a closet and started drawing arrows when asked how strategic decisions were made. “It was like a Dilbert cartoon, it was very odd,” Bartz said. “I was like, ‘Oh, my God. You need management.”’ Blake Jorgensen, Yahoo’s chief financial officer, plans to leave the Sunnyvale, California-based company as soon as Bartz finds a replacement. But it doesn’t sound like Bartz wants to replace Susan Decker, who had been president of Yahoo before leaving the company after Bartz beat her out for the top job. “I don’t need a No. 2 because I don’t want to be removed from the business,” Bartz said. “That’s what happens. You get confused about who’s in charge.” Source: Tech News - Livemint.com | 28 May 2009 | 9:11 am Yahoo open to Microsoft deal under right termsCalifornia: Yahoo Inc.’s chief executive said on Wednesday that she is open to joining forces with Microsoft Corp. so both companies can better compete in Internet search, but a deal would need a specific set of terms including “boatloads of money.” An alliance in Internet search would have to enrich Yahoo, give Yahoo access to the “right data” and bring strong technology, Carol Bartz said at The Wall Street Journal’s: All Things Digital conference. In the past, Yahoo has insisted it needs data culled from search requests to sell the most effective ads and tailor other services to suit its users’ interests. Asked if she would consider selling all of Yahoo, she said, “Oh, they’d have to have BIG boatloads of money.” Yahoo already has walked away from what would seem to be a boatload. Microsoft offered as much as $47.5 billion for the company last year. Jerry Yang’s, Yahoo’s co-founder, was chief executive at the time and saw Yahoo lose two-thirds of its market value after rejecting Microsoft. He stepped down in November and was replaced in January by Bartz, who came from Autodesk Inc. Yahoo’s market value now stands at $21 billion, with its shares falling 34 cents to $14.94 on Wednesday. Microsoft Corp. CEO Steve Ballmer, who appears at the conference on Thursday and is widely expected to talk about his company’s new search engine, has said he would still be interested in a search-related deal with Yahoo that could help them threaten Google Inc.’s leadership. Bartz was asked whether Yahoo continues to talk with Microsoft. “Yeah, a little bit,” she said. Bartz said it would be unfair to shareholders to rule out selling the company and she needled the founders of privately held Twitter Inc. for saying Tuesday that they intended to keep the young, rapidly growing online communication service independent. Bartz, 60, recounted how she deflected overtures from Yang in November to take his job when they met at board meeting of networking equipment maker Cisco Systems Inc., where they serve as directors. A month later, she agreed to visit Yang’s home. Bartz was taken aback when Yang pulled an organizational chart from a closet and started drawing arrows when asked how strategic decisions were made. “It was like a Dilbert cartoon, it was very odd,” Bartz said. “I was like, ‘Oh, my God. You need management.”’ Blake Jorgensen, Yahoo’s chief financial officer, plans to leave the Sunnyvale, California-based company as soon as Bartz finds a replacement. But it doesn’t sound like Bartz wants to replace Susan Decker, who had been president of Yahoo before leaving the company after Bartz beat her out for the top job. “I don’t need a No. 2 because I don’t want to be removed from the business,” Bartz said. “That’s what happens. You get confused about who’s in charge.” Source: Home - Livemint.com | 28 May 2009 | 9:11 am Indian stocks not expensive yet: JhunjhunwalaMumbai: Maverick Indian investor Rakesh Jhunjhunwala believes bold reforms such as opening up the country’s insurance and pension sector to foreigners will be critical to quell concerns about the market being pricey and sustain a stock market rally. Expectations for economic reforms in India have gathered momentum after the ruling coalition was re-elected with more seats in parliament nearly two weeks ago. “Insurance, pension reforms are going to be extremely important for the stock market because the kind of money we’ll get from that is unbelievable,” Jhunjhunwala, dubbed by the media as India’s Warren Buffett, told Reuters in an interview. The BSE index, which has jumped 16% since the election victory, taking gains to three-quarters from a 2009 low in early March, could rise another 10% to 15,500 by the end of December, he said. “It is very much contingent on factors. One is how things pan out internationally and the second is how well the government meets expectations,” he said, sitting in his plush 15th-floor office overlooking Mumbai’s financial district. “If both turn into favour, then I don’t think valuations are expensive,” he said, adding 12,500 would be the base for the index. Jhunjhunwala, who started more than two decades ago with about $100 and whose wealth was pegged at $1 billion last year by Forbes magazine, said infrastructure-related sectors, banking and retail could prosper with a stable government in office. Entertainment could also prove to be a growth area, while drugmakers offered good opportunity. “I think the Indian cost benefit and research benefit is extremely high. I am very bullish on the sector,” he said, referring to pharmaceuticals. He was wary on the outsourcing sector amid the US recession and weak dollar, but said it was important for India’s economy. “If software exports grow 10 to 15% and commodity prices hold at these levels or slightly below, I see no reason why India will not grow 10 to 11% in two years,” said Jhunjhunwala, a heavy smoker who relishes Blue Label whiskey. He also said the proposed merger between leading Indian mobile operator Bharti Airtel and South Africa’s MTN would add value to shareholders of the two firms. Bharti’s balance sheet and cash flow showed that its interest cover was good and the deal posed minimum risk to the company, which is planning to raise about $4 billion in debt, he said. The father of a five-year-old girl and 2-1/2-month-old twin boys, Jhunjhunwala also trades in commodities, debt and currency but his biggest exposure is in stocks and his office features a painting of the Bombay Stock Exchange. “I have far less than what people think, but far more than I need,” the bespectacled investor said. Source: Home - Livemint.com | 28 May 2009 | 8:59 am Haryana plans shopping festival to lure touristsHaryana's tourism department will organise a shopping festival at Gurgaon in December, the state's tourism minister Kiran Choudhry said here Thursday.Source: IndiaeNews.com: Business News | 28 May 2009 | 8:52 am India's inflation rate unchanged at 0.61 percentIndia's annual rate of inflation remained unchanged at 0.61 percent for the week ended May 16 with minor increase in the the index for primary articles, fuel and power and manufactured products, official data showed Thursday.Source: IndiaeNews.com: Business News | 28 May 2009 | 7:32 am Inflation remains unchanged at 0.61%Inflation remained unchanged at 0.61 per cent for the week ended May 16 compared to the previous week even as prices of some food items like tea, pulses and cereals became expensive.Source: India Business News | Business News - Times of India | 28 May 2009 | 7:06 am Review: Nokia 6208 - a solid value for money phone The phone features a pen input along with an alphanumeric keypad and handwriting recognition, as well as a 3.2 mega pixel camera. The stylus is also in Sidin’s words “quite fancy, like something you would see in a Terminator movie.” Listen to Sidin’s audio review of the phone where he discusses functionality, speed, the usefulness of the new features and what he really likes about the phone. Source: Tech News - Livemint.com | 28 May 2009 | 7:05 am Satyam's Australia Chief quits: ReportIT firm Satyam Computer's Australia chief Deepak Nangia has quit from his high profile role, in pursuit of greener pastures.Source: Daily News & Analysis: Money News | 28 May 2009 | 7:04 am Dream home for the poorest closer to reality in BiharRickshaw puller Haria Bhuiyan and daily wage labourer Mangru Manjhi are elated. Bihar Chief Minister Nitish Kumar has said a housing scheme for the poorest of the poor is being finalised and will be implemented soon.Source: IndiaeNews.com: Business News | 28 May 2009 | 6:31 am Trade with Pakistan on Poonch-Rawalakot route picking upTrade across the Line of Control (LoC) that divides Kashmir between India and Pakistan is picking up through the Poonch-Rawalakot route, officials say. The trade route was opened last October.Source: IndiaeNews.com: Business News | 28 May 2009 | 6:31 am Tata extends deadline on Jaguar Land Rover bridge loanPassenger and heavy vehicle manufacturer Tata Motors has extended the maturity deadline on a bridge finance of $1 billion raised for financing the Jaguar Land Rover (JLR) deal struck in March last year by 18 months till Dec 31 2010, the company said in a statement Thursday.Source: IndiaeNews.com: Business News | 28 May 2009 | 6:30 am Opel talks end with no deal, Germany blames USBerlin: The fate of German carmaker Opel hung in the balance on Thursday after marathon talks on shielding it from the looming bankruptcy of its US parent General Motors ended without a deal. German ministers told reporters after more than 12 hours of negotiations in Berlin that a bidding battle for Opel had narrowed to a two-way race between Italian carmaker Fiat and Canadian auto parts company Magna. But they blamed GM and the US Treasury for the failure to agree a plan to tide Opel over until a deal with one of those suitors can be sealed. “We have made demands on the US Treasury and expect answers by Friday and we will need these answers in order to agree a plan,” Economy Minister Karl-Theodor zu Guttenberg said. “We don’t have the security yet that we need to commit to bridge financing today.” Choosing a final bidder for Opel and closing a deal could take months - time that neither the carmaker nor the German government have with GM expected to file for bankruptcy in days after a crucial bond exchange proposal failed. To tide Opel over, Germany has put together €1.5 billion ($2.1 billion) aid package. But it has made this aid contingent on the US government and GM agreeing to its plan to temporarily place Opel assets in a trust, a move that would protect its patents and technology from GM creditors. Finance minister Peer Steinbrueck said he was hopeful a deal could be reached on Friday that would save Opel. But he spoke of “surprises and disappointment” with the US negotiators, saying GM had shocked participants by announcing it needed €300 million in additional short-term cash. Roland Koch, premier of the state of Hesse where Opel is based, added: “I think we can say clearly that a big part of the problems tonight came from the combination of new figures from General Motors and a not very helpful negotiating stance from the Americans, from the US Treasury.” Guttenberg said insolvency remained an option for Opel if U.S. negotiators refused to budge. German Chancellor Angela Merkel had called the meeting to agree a plan to keep the carmaker running while negotiations with suitors are finalised. Ahead of the meeting Fiat and Magna were seen as the leading contenders for Opel. Afterwards, Steinbrueck said that a third bidder, holding company RHJ, was out of the race. A fourth bidder, China’s Beijing Automotive Industry Corp (BAIC), could still be in the running if it comes up with a more detailed offer. Although GM will have the final word on who buys Opel, Berlin is playing a crucial role in the sale process because it is being asked to cough up billions of euros worth of loan guarantees as part of any deal. Opel traces its roots in Germany back to the 19th century and employs about 25,000 staff in four plants here. Its future has become the focus of a furious politically charged debate in Berlin ahead of a federal election in September. Like its parent GM, which bought a controlling stake in the German carmaker during the economic crisis in 1929, Opel has suffered acutely from the worldwide economic slowdown. Fiat has presented an ambitious plan to fold Opel and other GM Europe brands Vauxhall and Saab into a transatlantic car empire that would also include new US partner Chrysler. Magna wants to use Opel and other GM brands to make an aggressive push into the Russian market. Selling Opel is a major priority for GM, which has been kept in operation since the start of the year with $19.4 billion in emergency federal loans. Source: World Business - Livemint.com | 28 May 2009 | 6:24 am Sensex up 186 pts on derivatives settlements, recovery hopesSentiment continued to be bullish at the BSE when the benchmark Sensex rose to a week's high, adding over 186 points.Source: Daily News & Analysis: Money News | 28 May 2009 | 5:24 am Rupee weakens 36 paise against dollar in early tradeThe Indian rupee depreciated 36 paise against the dollar in early trade on Thursday on anticipation of capital outflows.Source: India Business News | Business News - Times of India | 28 May 2009 | 4:08 am 'Stranger to History' still atop bestseller listAatish Taseer's 'Stranger to History', that has been ruling the non-fiction section for over a month now, continued to maintain its position on the bestseller list this week, while 'Percy Jackson and The Last Olympian: Half Boy, Half God, All Hero' by Rick Riordan topped the fiction group for the second week running.Source: IndiaeNews.com: Business News | 28 May 2009 | 3:30 am Bharat Forge (Rs 177.30): BuyWe recommend a buy in Bharat Forge stock from a short-term trading perspective. After recording a multi-year low of Rs 69 this January, the stock formed a base consolidating sideways in the range of Rs 70 and Rs 90. The stock has developed aSource: Business Line - Home Page | 28 May 2009 | 12:00 am Govt to push ahead with long-pending reformsNew Delhi, May 27 The Finance Minister, Mr Pranab Mukherjee, said on Wednesday that the next round of economic reforms will provide the next stimulus to economic growth. The stock markets seemed pleased by the announcement. The benchmark SensexSource: Business Line - Home Page | 28 May 2009 | 12:00 am Infosys sees good demand in India, West Asia; bags 3 deals in home marketBangalore, May 27 Infosys Technologies Ltd has won three significant deals in the last five months in India, a market that has become increasingly strategic to theSource: Business Line - Home Page | 28 May 2009 | 12:00 am Dial your doctor, pay by phonePatient-doctor link portal HealthcareMagic has said its subscribers now can not only consult a doctor on phone but also pay their fee by phone. The company has tied up with mobile payment service provider Atom Telecom to provide IVR-based paymentSource: Business Line - Home Page | 28 May 2009 | 12:00 am Market sizzles, Sensex gains 520 ptsMumbai May 27 The Finance Minister’s remark that the Government would increase its infrastructure spend and ensure cheaper credit saw stocks rise again on Wednesday.Source: Business Line - Home Page | 28 May 2009 | 12:00 am Tech Mahindra nominees join Satyam boardHyderabad, May 27 Tech Mahindra got its four nominees on the Satyam Computer Services board today, about 45 days after successfully winning a bid for a majority stake. With this development, Satyam’s board will now have the full complementSource: Business Line - Home Page | 28 May 2009 | 12:00 am Imported raw sugar may be exempt from release mechanismNew Delhi, May 27 Exempting imported raw sugar from the monthly release mechanism and providing a two-month levy holiday for mills undertaking early crushing are among the latest measures being considered by the Centre in its efforts to rein inSource: Business Line - Home Page | 28 May 2009 | 12:00 am Cos’ overseas borrowings fall 73% to $298.63 m in AprilMumbai, May 27 Resource mobilisation by India Inc through external commercial borrowings/foreign currency convertible bonds in April was sharply down by 73 per cent to $298.63 million vis-À-vis $1.113 billion in theSource: Business Line - Home Page | 28 May 2009 | 12:00 am Day Trading GuideFresh long position can be initiated if DLF surpasses Rs 379, with stiff stop-loss. ICICI Bank and SBI stocks bounced up gaining 6 per cent in the last trading session. This bounce has negated the selling pressure. We recommend a buy in these twoSource: Business Line - Home Page | 28 May 2009 | 12:00 am 59 more find berthsNew Delhi, May 27 With Cabinet expansion slated for Thursday, the Prime Minister, Dr Manmohan Singh, and the Congress President, Ms Sonia Gandhi, on Wednesday once again held consultations and finalised the list ofSource: Business Line - Home Page | 28 May 2009 | 12:00 am Wockhardt set to sell its German businessDebt-ridden pharma major Wockhardt Ltd is said to be in advanced talks to sell off its German business Espharma GmbH.Source: Daily News & Analysis: Money News | 27 May 2009 | 8:50 pm Were you fearful when the others were greedy?The little-known Silvassa-based company that manufactures parts for textile machinery has seen its share price multiply 100 times in the past seven months.Source: Daily News & Analysis: Money News | 27 May 2009 | 8:48 pm Yields go up on Chawla talkFinance secretary said govt may "frontload" bond sales and exceed borrowing target.Source: Daily News & Analysis: Money News | 27 May 2009 | 8:38 pm 'Auto stimuli should not be withdrawn in the Budget'The Indian auto sector, which enjoyed double-digit growth rates over the recent years, faced a difficult last fiscal with falling sales, slowing assembly lines and a huge build-up of overcapacities.Source: Daily News & Analysis: Money News | 27 May 2009 | 8:32 pm Sow well and thou shalt reap goodIf you are a true blue retail investor, the kind who invests when the stock market is at its peak, and sells out when the market is at a low, chances are you would have missed the current rally.Source: Daily News & Analysis: Money News | 27 May 2009 | 8:14 pm FM says Budget will push inclusive growth, reformsPushing reform measures while initiating steps to boost inclusive growth and ensuring economic revival while maintaining fiscal prudence, are top on the government's agenda.Source: Daily News & Analysis: Money News | 27 May 2009 | 7:59 pm Crude at $63Oil prices rose to six-month high on Wednesday as an increase in US consumer confidence fuelled optimism that the world's largest consumer of oil is emerging from a severe recession.Source: India Business News | Business News - Times of India | 27 May 2009 | 7:37 pm Tatas get $1bn loan for JLR refinancingTata Motors got a $1 billion loan to refinance debt used to buy Jaguar and Land Rover from Ford Motor Co, two people with knowledge of the matter said.Source: India Business News | Business News - Times of India | 27 May 2009 | 7:36 pm Jet plans 10% reduction in domestic flightsThis will be over and above 20% capacity pruning the airline has done during November-May, to tackle slowdown in traffic and mounting losses. Jet's net loss touched Rs 961.4 crore in 2008-09.Source: India Business News | Business News - Times of India | 27 May 2009 | 7:36 pm Bharti-MTN: Unions won't block dealThe Congress of South African Trade Unions, the country's largest labour federation, said it doesn't plan to block a proposed transaction between MTN Group Ltd. and India's Bharti Airtel Ltd.Source: India Business News | Business News - Times of India | 27 May 2009 | 7:35 pm Poor timings of airlines likely to be made publicThe government, which has recently started monitoring of OTP on a fortnightly basis, is now toying with the idea of making this information public on a regular basis.Source: India Business News | Business News - Times of India | 27 May 2009 | 7:33 pm Economic reforms the next stimulus: PranabPutting forward the broad economic agenda for the next five years, Finance Minister Pranab Mukherjee said the next round of stimulus for growth would be in the form of economic reforms, and the government has already identified the plan of action.Source: Business Standard | Front Page Headlines | 27 May 2009 | 6:53 pm FM-speak, US data lift Sensex 520 ptsFinance Minister Pranab Mukherjees statement that he would get bankers committed to a "more benign plan of action", and improving consumer confidence in the US lifted market sentiments today.Source: Business Standard | Front Page Headlines | 27 May 2009 | 6:50 pm 'Tata group innovating affordable products for masses'As part of its commitment to address the lower part of the pyramid, the Rs.150,000-crore Tata group is innovating affordable products for the masses, its chairman Ratan Tata said here Wednesday.Source: IndiaeNews.com: Business News | 27 May 2009 | 2:01 pm Power cuts cost India Inc over Rs.43,000 crore: StudyThe global economic meltdown is not the only factor that is pulling down the revenues of Indian businesses. A study released here Wednesday said India Inc lost Rs.43,205 crore in 2008-09 due to power outages.Source: IndiaeNews.com: Business News | 27 May 2009 | 12:32 pm
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